The Indian stock market is expected to open on a weaker note on Monday, February 10, following negative global cues. Trends on Gift Nifty suggest a bearish start, as it was trading around 23,561—nearly 54 points lower than the Nifty futures' previous close.
Market Recap: February 9 Performance
On Friday, the domestic equity indices closed lower after
the Reserve Bank of India (RBI) announced a 25 bps repo rate cut. The Sensex
declined by 197.97 points (0.25%) to settle at 77,860.19, while the Nifty 50
slipped 43.40 points (0.18%) to close at 23,559.95.
Nifty 50 Outlook
Nifty 50 has been in a short-term corrective phase after
facing resistance near 23,800. The index formed a negative candle on the daily
chart, with analysts highlighting a support zone between 23,400 – 23,500
levels.
- Key Resistance Levels: 23,510 – 23,580
- Key Support Levels: 23,210 – 23,100
According to Nagaraj Shetti, Senior Technical Analyst at HDFC Securities, the market is at a crucial support zone, and any upside bounce could push the Nifty 50 back toward 23,800 levels. However, a breakdown below 23,400 could lead to sharp weakness.
Despite the recent volatility, Puneet Singhania, Director of
Master Trust Group, continues to be on a 'Buy on Dips' strategy as Nifty 50 is
holding above its 21-day EMA, which indicates an upside continuation.
Bank Nifty Outlook :
The Bank Nifty index closed Friday's session at 50,158.85, down 0.44% but still managing a 1.32% weekly gain, which shows resilience.
- Immediate Support: 49,700
- Immediate Resistance: 50,700 – 51,500
Technical analysts say Bank Nifty is still bullish as it
trades above the 38.2% Fibonacci retracement level of 50,120. According to Om
Mehra, Technical Analyst at SAMCO Securities, a decisive breakout above 50,650
could fuel an extended rally towards 51,500.
Market Strategy
Traders are recommended to watch key support and resistance levels closely. Since Nifty 50 and Bank Nifty are trading at key junctures, the approach needs to be cautious while opportunities are sought in pullbacks.
Keep reading for more market updates as Indian indices respond to global cues and domestic factors.
